Who is Watching You Play?

Merry Christmas and Happy Holidays - 2009!

Many years ago, I heard the story of a young man who played football at a Division III New England college. It's a great story that I have never forgotten... A freinds from GAMA, Herman Dixon and also an executive with State Farm, reminded me of this story a few weeks back... I have felt impressed to share it with you and have added some personal thoughts. The player had not been a "star performer" on the football team, but one that was visible at practices and participated though he never played enough during this first three years to win a varsity letter.

At the end of his junior year, the college hired a new coach. This coach set as a goal to win the conference championship and his focus became centered on those players who possessed the talent to bring this goal into reality. Though the coach spoke with this young athlete, he really did not take the time to effectively "know" the young man in completeness. As fall practice came forth and the opening games progressed, the coach often saw the young man with a distinguished man after the games, but never took the time to properly introduce himself or find out in detail any personal information other than it was the young man's father..

As the season progressed, the team won and placed itself in position to win the conference and thus advance to the playoffs for the first time in over twenty-years. The moment came with a late season game with the prior year's champion. The home event brought much excitement throughout the campus and the week's practice began with a demanding onslaught.

Late Monday evening, the coach heard a knock at his office door. Responding for the guest to enter, the young athlete with a look of despair in his face entered the room. The coach recognized the look and stopped his work to ask the young man what was wrong. The response came that the young man's father had died earlier in the day and he wanted to go home. The coach offered his sympathy and told the young man that his absence was fine. "Your family needs you son," replied the coach. "Go on home." The young man thanked the coach and then said something that caused the coach to pause. The young man said, "I will be back for the game coach, I will be back." The coach told the young man to not worry about that obligation and ushered him out of the office. He then went back to work on the game thinking how he should have done more. Soon, that thought was replaced by his focus on the game.

Friday came forth and as the coach worked in his office later that evening, another knock was heard. As he announced the visitor to enter, he was shocked at what he saw: the young athlete had returned. "I am back coach, just as I promised," spoke the young man. "Son," replied the coach, "You did not have to do this, your family needs you," the coach conveyed. "No coach, my place is here. My family agreed, "the young man quickly responded. "But, I do have one request. I want to play tomorrow coach, please", replied the young man. "I have been on this team for four years. I have never, never asked for anything. I am now asking that you allow me to play in tomorrow's game." The coach stared for what seemed like an eternity to him but only a few seconds in reality. As he thought in this mind: "Tomorrow is the biggest game of all. I have got to have the best players on the field at all times. I will risk it all if I let this kid play, but I feel so sorry for him…" "Ok son," came the coach's reply. "I will get you in the game tomorrow." The young man departed the coach's office and walked down the darkened hallway toward the exit way and into the night.

The rest of the evening the coach stressed on what he had promised. What a mistake he had made but he could not go back on his word. He finally resolved that he would put him on the kickoff team toward the outside and away from potential danger. He would have kept his word and he then could go on with the game.

Game time came. The crowd roared with excitement! The bands played the fight song and the team was motivated as it entered the playing field. After the coin toss and the team huddled around the coach for final instructions, the coach motioned to the young man that he was to be on the kick off team and where he was to be positioned. The young man took the field without a smile or thanks. His stoic face was focused on the field and the events it beheld.

The ball was kicked and with blistering speed the young man sped to the ball carrier hitting him with such force that he fumbled the ball and the young man quickly scooped it up and rambled into the end zone for a touchdown. The coach was shocked with what he saw. The young man's effort led the coach to play him in more situations in the game. When the game had ended, this young unheralded athlete had scored three touchdowns; made ten solo tackles; intercepted three passes; caused four fumbles. It was a game worthy of a historical recognition. The team won the championship handedly.

As the press surrounded the coach asking where this great "iron man" had been all year, the young athlete was nowhere to be found. Finally after the noise of the locker room had settled and the coach searched, he found the young man standing in a darkened corner of the locker room, his face with a smile and his stature symbolic of high self-esteem. "Son", said the coach, "Where did this come from? Why have you not given more during practice?" "I just can't believe it!" The young man looked the coach directly in the eye and replied, "Coach, you know that my father was always with me at the games and walked with me after the games." "Yes I know", replied the coach. "Well coach," replied the young man, "What you and many others did not know was my father was blind and today is the first game he ever got to see me play." "I wanted him to see me play as a champion."

Who is watching you play for the first time?

Are they seeing you play as a “champion” or are they watching a passive performance? Are you getting the benefit of the many valuable tools that Farmers and the broader industry has to offer? Are you developing as an industry leader? Are you stepping forward to investigate the broadened opportunities that are available all around you? Are you the leader within our organization that you need to be? Are you providing value to others in a manner and measure that will enhance your agency’s performance?

The final question becomes,

Will you step forward and play like a champion in 2009?

As you look to this next year, I challenge you to become a champion member of our team. Step out of your comfort zone. Set your personal fears aside and be a champion. You can do it! The possibilities are endless, especially during these turbulent times. That may seem like a conflicting statement, but it is true. Your prospects, contacts adn clients are looking for your direction and a relationship of trust. In a time of uncertainty, they are looking for a competent, caring professional to show them the way. They are looking for a person who can clearly articulate a message of self-reliance and preparedness. Will you be that champion? Of course you will…

Here are six simple action items to guide your efforts:

1. Set Audacious Goals - “Where there is no vision, the people perish!”
2. Surround Yourself With Other Champions - Avoid the turkeys and soar with the eagles!
3. Protect Your Attitude - This secret weapon will determine your altitude!
4. Make Professional Development a Priority - Knowledge is power, seek it!
5. Work Like It All Depends on You – Nothing can replace hard work!
6. Be Accountable - Make your word your bond!

Agency is a powerful thing. We all have it; the power or will to act, to exercise your personal will or not. You can either choose to make it happen or not! The ball is in your court. It’s your move... At the end of the day, when the lights fade and the crowd departs, the only one that knows is you and the truth.

Give it all you can and you will come to experience the indescribable taste of being a champion. You will earn the profound satisfaction of knowing that you did your best.

There can be no greater feeling!

Back to the Basics – The Five Principles of Selling

If you are in the midst of a struggle or trying to take one’s achievement to another level, harkening back to the basics is always a smart strategy. Let me share an experience I had as a teenager where I learned the importance of “going back to the basics.” It was such an impactful experience that while I was a missionary in the Philippines I remembered it and wrote it down. This is what I wrote back then.

In the Winter of 1976 I was preparing for the 1977 Yucaipa High School tennis season. I was a junior at the time and as you might imagine was hooked on tennis. I loved the sport and played it quite competitively for several years. In preparation for the coming season, I had the opportunity to attend a three-day tennis clinic conducted by Coach Verdieck, tennis coach of the University of Redlands tennis team. If you follow college ratings in Southern California you will know that University of Redlands holds their own against USC or UCLA in pre-season competition. Needless to say, they are quite a reputable team.

On the morning of the first day, I and 15 other high school players were seated in the bleachers to receive some instructions from Coach Verdieck. He went on to explain what the next three days would entail. He began by saying, “When my team gets down, or when we lose that important set, or when everything seems a little off and doesn’t seem to click just right, the next day at practice we do something totally different, we go back to the basics.” He continued, “I teach them how to hold the racquet and how to position themselves on the court all over again. We take a look at the forehand, backhand and volley and go over them step by step.”

At the time I thought, this guy was crazy. He was coaching practically professional players and was showing them how to hold the racquet, position themselves on the court and the fundamentals of how to hit the most basic strokes. As he dismissed us to the courts, he said, “And so today, that is what we are going to do; we are going back to the basics.”

At the beginning I was thinking, “I already know how to do all of that.” I was hoping for some deep strategy session or instruction how to hit that top spin ground stroke like Bjorn Borg or that two handed ripping backhand like Jimmy Connors. Maybe we would cover the secret hand signals of some of the top doubles players or the best way to throw a toss over the back of your left shoulder to make the ball hop on your serve.

No such luck, we were going back to the basics! I resisted at first, but then quickly realized that this guy had a much better track record than I did! He was Coach Verdieck of the University of Redlands! I was a young aspiring teenage high school tennis player from a small rather insignificant school. Needless to say, I changed my attitude and followed along. It was a great clinic!

Remembering this experience brings back a lot of memories, especially all of my time on the tennis court that I enjoyed as a youth. Those were great times!

Consider these key questions:

• Do you need to go back to the basics with respect to your agency success?
• Have you gotten a little rusty?
• Are your results not like they were years ago?
• Has the environment changed and you feel a little behind?
• Is your timing a little off?
• Are more of your shots going out than falling in?

Maybe it’s time you sharpen the saw and take a stroll “back to the basics!” I have selected one area that can yield true improvement if you will ponder its effectiveness and implement its simplicity!

The topic is: The Five Principles of Selling

The Five Principles of Selling are:

• Selling is not telling; selling is asking questions
• As often as you can, turn a statement into a question
• Sales is a transference of feelings
• Give them what they want
• Stop selling and start helping people buy

Selling is Not Telling; Selling is Asking Questions – Oh, this is so true! I hate to be too direct but, most of you talk too much! If you would simply ask more questions and listen for the answers you would yield so much more success. Often times it’s not the first question, but the 3rd and 4th that uncovers the true need or client objection. But asking follow-up questions requires true listening. Consider reflective as well as emphatic listening to improve your results. How can you effectively recommend proper coverage unless you have asked a series of effective questions to find out their true need? Never forget the question that starts with the word “why”. When they say they are interested in auto or home insurance ask, “why” and then drill down further asking three more questions to make sure you understand their core motivation! In short, guide the conversation with a series of questions and you will facilitate success!

As Often as You Can, Turn a Statement Into a Question – This is true in most everything you say or do in selling. You can either tell them by making a statement or you can ask questions to guide the same outcome. It might seem the same, but asking questions is much more powerful. This is true because asking questions transforms your prospect into the role of a student. As you guide the conversation with questions you begin to educate your client. Since learning can be fun and engaging, the student often becomes captivated by the process. As you guide the educational process they begin to draw their own conclusions. Because they are their conclusions, they own them! Simply put, quit making statements and start facilitating the learning process!

Sales is a Transference of Feelings – If you don’t believe this then go to the Mercedez Benz lot and sit in a brand new E or S Class. Smell the leather and new car aroma and tell me you don’t get a little excited! Okay, so you are not motivated, then do the new model home tour in your favorite location or stroll to the end of the Newport Beach pier with that special someone and tell me the environment doesn’t move you. The reality is we are all creatures of our feelings. The bottom line is this; people make decisions largely on emotion and then justify them logically. This is why telling a story in the selling process is such a valuable skill. A great agent once said, “Put people at the point of loss, before the loss occurs.” What does this mean? Tell a great story about that tragic car accident or potential house fire. Unfortunately, we all know these terrible events can occur. Help them experience it emotionally and they will make better decisions about their future.

Give Them What They Want - Do you know what your clients want? Most agents haven’t a clue because they haven’t spent enough time asking the right questions and getting to know their clients to find out. Most agents would say, “They want the cheapest price!” Oh really? In the absence of a value conversation you might be right. Studies suggest, however, that people want value and will pay for it if value is effectively communicated. Trust me, they want much more than price. They want a combination of price, service, coverage and a relationship. Find out what they want and then help them buy!

Stop Selling and Start Helping People Buy – As you genuinely get to know your clients and effectively build rapport, you will begin to understand their needs. As you do this, you will start to see the connection between their needs and the specific benefits of the Farmers products. Help them make this connection, through the process of asking questions and you will find that your clients will ask to buy!

Getting "Back to the Basics" in selling is much like the realization of learning how to hold the racquet all over again. I thought I knew the basics only to discover that I knew very little!

Enjoy the process of getting good at the basics!

Keep the Main Thing the Main Thing!

I remember a counseling session many years ago with a business mentor of mine who at a time of personal frustration said to me,

“Mark, keep the main thing the main thing?”

Oh, how this has blessed my life in so many ways. There are so many things we can focus on and yet there are typically only a few things, when kept first, that can have the biggest impact on our lives. Of course as we look at the many roles we all play in our life’s journey (father, mother, husband, wife, provider, church leader, civic organizer, teacher, coach, etc…) there are many “main things” that we need to focus on. Sometimes keeping them lined up can get rather burdensome and confusing, but that is another post!

I want to spend a few moments talking with you about what I believe is the “main thing” on being an effective agent. To do this I need to share an important organizational behavior model I first learned at a BYU Alumni Conference in 2006. The model speaks to the issue of change, more specifically how to effectively change the behavior of individuals or groups to achieve worthwhile results.

I must tell you that the application of this model has made a dramatic difference to me personally and in my business life. I have shared it with several other people and it has caused them great insight as well. Consider the following. The model suggests that our results are determined by our behavior. Our behavior is determined by our beliefs and our beliefs are determined by our experiences. In the reverse it would look like the following. Our experiences determine our beliefs, our beliefs determine our behaviors and our behaviors determine our results. Maybe it would look something like this:

· Experiences > Beliefs > Behaviors > Results

Think of this for a few moments and challenge its simplicity and straightforwardness. Think of a result or set of results you have in your life and trace it back. I think you will find that your results thus far have been largely determined by your life experience. Think about the success in your own life. Have not your successful results come from a series of experiences which drove your beliefs about your efforts and your subsequent desire to succeed? Those beliefs drove certain behaviors which led to favorable results.

Now think of it this way. Leaders are constantly trying to reach some predetermined aim. In order to reach this target you generally need others to help achieve the goal. In order to reach this destination it will take a series of particular behaviors and results that are vertically aligned toward the target to accomplish the goal. In the process, you will find that your ability to facilitate change, in the context of marshalling the resources of others, will make all the difference. You will need people, human capital, to reach the finish line.

Throughout my business experience I have watched countless management teams across a variety of industry classifications fail to understand the power of this simple model. How effective would they be if they simply understood this model on change! They repeatedly attempt to change the results of an organization by attempting to change the behaviors of key team members and line staff.

They attempt to focus on behavior rather than focus at the experiential and subsequent belief level of the person or organization. To accomplish this they often use coercive means and tactics to reach their aim. It is quite common for executive and line managers to engage in manipulative tactics to change their results, because when you fail to focus at the lower levels of the change model (experiences) you are left with a dwindling tool box of effective tactics to get results.

I detest these methods. I have seen them up close and personal, which is probably why I am presently in my own enterprise where I have more control over my own culture. Their approach or management style, if you want to call it that, can be favorable in the short run, but over time since a positive experiential factor has not changed, the desired results often fall off and revert back to pre-manipulative levels. It’s a frustrating way to go if you want true long term change! In effect, the tactics do cultivate an experience, but it is so negative that true change is not sustained.

Consider this topic’s application to the building of a Farmers agency. So much of what we do is about relationships, is it not? The process of bringing new clients into your agencies requires a change of focus and attitude on the part of the insured. Why would they change? Why would they decide to come to your agency and leave their current relationship? Of course clients can change for a variety of reasons. Price, coverage, service and relationships covers the spectrum. But, their decision to change ultimately hinges on some sort of experience they will or will not have with you!

If they have a meaningful and value-added experience with you and your staff they will begin to form beliefs about what this new relationship might mean to them in the future. This experience must be aligned to their needs and they must see a pathway to achieving what’s important to them. But at the heart of their decision process is an experience. As their beliefs begin to form out of this new experience you have provided, their related behavior and results will follow.

I see this play out over and over again… And so, the question that begs an answer is,

“What kind of experience are you providing your immediate and potential clients?”

“Is it an experience that draws them to you or drives them away?”

This is a serious question that demands careful attention!

You are either providing a nurturing, growing, attractive, professional, service-oriented experience with those you touch or you are not! You are either providing a positive, encouraging, consultative environment or you are not! Consider your physical office environment as well… This is a whole other topic that emits an experience to those you encounter. Consider your personal dress and grooming! You can see how the concept of examining what type of experience you are presenting can be far reaching and yet central to your growth!

This is a fascinating topic to me as I see it all around me in most everything I do. I see it in the world of business, parenting, and sports and in my service relationships. More importantly, however, I see it in our individual lives and with those we interact. The challenge is that it is more difficult to work at the experiential level rather than trying to use other manipulative means to change one’s results. I guess we could yell, scream and pout to get our way and in the short run that often works. Conversely, effecting long term change takes more thought, energy and creativity, and it requires one to truly connect with the person he or she is working with. Accordingly, most take the easy way out and are simply not willing to put in the work.

The work comes when we understand that the key to emitting a change driven experience with others is rooted in the personal soft skills that we exemplify. Our soft skills make up of the following abilities:

- Your ability to effectively articulate our thoughts and opinions
- Your ability to practice reflective and emphatic listening skills
- Your ability to managing our body language and physical presence
- Your ability to understanding social and learning styles
- Your ability to communicate and effectively manage conflict

In our techno-savvy world there is a demand for these important skills and maybe a heightened need to shine in these areas. As you provide a better experience for those around you, you will become an attractive magnet that the best will flock to. It will be a feeling that others will detect. It will be a value added aura that you impart. Be the person and you will become what you dream! Never forget the connection between the following:

· Experiences > Beliefs > Behaviors > Results

Focus on the experiential component of life and you will change your results. There is no doubt that this is the “main thing” in building a vibrant agency!

Reasons People Change

Have you ever wondered why people change from one agency to another or from one insurance company to another? It is really quite simple. There are only a few reasons people switch. Use your experience to compare against this list. They are as follows:

1. To receive better coverage
2. To receive better service
3. To pay lower premiums
4. To enjoy a better relationship

If this is true and it is, then wouldn’t it be safe to also conclude that the same reason a person uses for changing is probably the same reason he uses to buy from someone else? Of course! If you knew what a particular person’s reason was how much of an advantage would you have in helping him or her get what they want?

Huge!

So then, isn’t the goal to find out what people want? How do we do this? How about we ask! Could it be that simple? It most certainly is! Consider asking the following questions to determine what’s important to your client. Depending on their answers, you can then conclude what is important to them. Its been my experience that people make decisions based on what’s important to them. If clients are indifferent or lack passion in their responses, switch to a different area of questions. For example, if they seem indifferent to changing based on coverage, switch to questions to reflect their desire for a relationships and so forth. It only takes 2-3 questions to begin to conclude what a person considers most important.

The problem with most of us is that we talk to much. We might ask one question but then we either fail to listen or to ask more probing questions to truly understand. So, take a chill pill and begin to ask better questions like the following:

1. To receive better coverage…..
- What concerns you most about your current insurance plan?
- If you got in an accident and it was your fault and you got sued, do you have enough coverage?
- When was the last time you had a detailed coverage review with your agent?

2. To receive better service……
- When was the last time your agent visited you?
- What do you think makes for a good insurance agent? How does your agent measure up to this standard?
- The last time you called your agent was he prompt in getting back to you?

3. To pay a lower premium…..
- Are you willing to sacrifice protection and peace of mind for a lower price?
- How much lower does it need to be from what you are currently paying?
- Price aside, in what other areas might I be able to assist you?

4. To enjoy a better relationship…..
- When you left your last agent, what was the reason? How has your current agent lived up to that reason?
- All things being equal, what must I do to make you feel comfortable in changing your current agent relationship?
- How often do you and your agent get together?

Again, recognize that people change agencies or companies for a reason. They also buy for a reason. If we had a better understanding of these reasons we might be able to meet their needs better. By using the right questions you might learn just what you need to meet or exceed their expectations.

As you ask open, probing questions you will be surprised what you will learn. Don’t just be satisfied with the first answer, drill deeper to really understand their thinking. Don’t be so anxious to conclude, but rather use clarifying questions to truly understand their intentions and motives. The F.O.R.E acronym is such a great tool in this regard… Oh, but that’s another blog!

Seek first to understand and then you will be understood!

The Eight Steps to Building a Profitable Agency

Having a proven roadmap to follow in building a private enterprise is a coveted possession. In the late 1950’s when franchising had its more contemporary birth, the idea of starting a systemized business where the processes where known and the look and feel of the operation was well defined was manna from heaven.

McDonalds put this concept on the map providing its franchisees with a well define template to follow. Some organizations perfected their systems and others did not. Those that did grew and those that did not experienced lack luster success. If you need a home town Inland Empire example, do some research on the local chain of fast food restaurants called Bakers. Bakers started the same time McDonalds did, but did they experience the rocket success of Ray Kroc? No! And there were good reasons…

The heart of their problem was in their basic business building recipe. It simply did not create the kind of synergy that McDonalds did. You see, everyone wants a sure thing or at least a deck stacked in their favor so as to believe that attractive results will follow a predictable are worked plan. That's what McDonalds had and the rest is history! By the way, reading about both of these stories is facinating!

Over many years I have observed that there are some very fundamental building blocks that contribute to the development of a profitable business. I have seen this recipe play out time and time again across many industries, especially in personal service corps. Since the mid 1980's I have seen this phenomenon in action. For simplicity, I have narrowed these success building blocks into eight simple steps. You'd be wrong to think this is conjecture or theory! This success recipe also provides a long-term business building framework for the general insurance industry and even better for the growing multi-line agency owner.

The building blocks provide new Reserve Agents as well as established “growth minded” full-time agents a helpful checklist to manage their agencies. It provides a template to determine if a particular advisor is on track or not. As I have observed and coached agents over the years, I have found these steps to be most critical for success. Trust these steps; they have been historically proven as a foundation for success in many business environments. Miss any step and over time you will rob your business of the energy and power it needs to be a growing enterprise. Oh, you may not see the erosion immediately, but the seeds have been planted and you will pay the price.

Here is my time tested recipe of business building steps. Read on for a more detailed discussion of each building block:

1. Personal Use - Become an all Farmers house.

2. Attitude: Personal Growth - Books/Tapes/CD’s - Focus on personal development by reading 10-15 minutes each day from an inspiring source. Listen to an inspiring tape or CD each day. Participate in continuing education.

3. Functions - Attend all District, Division and Farmers events.

4. Association - Associate with winners both in and out of the business.

5. Constant Coaching - Counsel with District Manager for growth!

6. Execute a Consistent & Effective Marketing Plan
· Develop a continuous flow of leads
· Maintain 5 active, well defined marketing strategies
· Plan your work and work your plan

7. Generate New Business Commissions - During the first 3-5 years of operation, solidify 500 (2 p/wk) clients (a household with 3 or more lines of Farmers business) with whom the agency earns $500 - $1,000 in commissions per year. You and your team should be generating the following sales on a monthly basis:
· Selling 30+ property & casualty policies per month
· Selling 5+ life policies per month
· Set-up 5+ FFS accounts per month

8. Account Retention - Maintain an on-going pool of satisfied, loyal clients. Achieve a product density factor of 3.0 and maintain profitability in all lines.

A narrative of each of the Eight Steps is as follows:

Step 1: Personal Use - Advisors must become an all Farmers house. They must use their own products. They should be insured and protected by Farmers. Advisors can’t sell something they don’t believe enough in to own themselves. If an advisor has the need for a particular product that Farmers offers, then advisors should embrace it! To not do so is to kill one’s own attitude. This philosophy builds personal belief in one’s own business. You can’t sell a Chevy while driving a Ford! To skip this step is to tear away at the fragile belief that is at the core of one’s independent enterprise.

Step 2: Attitude: Personal Growth – Books/Tapes/CD’s - Advisors must understand one element truth, “One cannot succeed beyond the level of one’s own self-image!” Advisors must incorporate a habit of life long personal development. Listening to success oriented tapes and CD’s helps develop a strong self-image. A great man once said, “You will become a sum total of the books you read and the people you associate with”. Without question, “Readers are Leaders and Leaders are Readers”. Advisors are encouraged to read from success oriented books. A monthly recommended book program will be developed to provide advisors access to great reading materials. The “Power of the Mastermind” explained by Glenn Bland in his book, “Success the Glenn Bland Method” is alive and well in District 34.

Step 3: Functions - Advisors must make attendance at District, Division and Farmers events a priority. No matter what these functions might be, active attendance and involvement is essential for success. In many respects, the template for success is found, taught, modeled, and reinforced at these meetings. Missing these events will cause an advisor to lose valuable time in the building of his/her enterprise.

Step 4: Association - Since people tend to become like the people they hang around, associating with positive, “on the grow” people is a known success principle. Advisors are encouraged to seek out people who are experiencing the success they would like. In his book entitled, “Unlimited Power”, Tony Robbins said, “Find someone who has what you want and then model what they do”. Modeling is a powerful concept. In the Farmers family, those individuals to “model” can be found by attending the various achievement clubs and incentive trips throughout the fiscal year. Advisors are encouraged to associate with these and other winners in the District and Division!

Step 5: Constant Coaching - As an advisor builds his/her business he/she will need to take corrective action to sustain growth. Before making significant changes, advisors are encouraged to counsel with a business coach, meaning with their District Manager, to review agency plans and objectives. These changes might include office relocation, staff hiring or firing, budgetary concerns, reviewing an annual business plan and/or possibly discussing the need to make a significant shift in product line focus. These opportunities are a great time for the advisor to establish a relationship of accountability. Division Specialists might also be considered as individuals to seek product line knowledge and expertise.

Step 6: Execute a Consistent & Effective Marketing Plan - Developing a continuous flow of leads is essential for success. Agencies begin to slow, when they stop this critical business building step. If raw materials are not loaded onto the beginning of an assembly line, a finished product will never result. Agents must have an effective marketing game plan sufficient to produce the leads necessary to reach the desired production results. It is essential to maintain a minimum of 5 active, well-defined and executed marketing strategies. The old adage of “Plan your work and work your plan” is time-tested sage advice.

Step 7: Generate New Business Commissions All of the other steps can be performed with exactness, but without understanding the power of the Sales Pipeline, an agency will not generate the capital it needs to survive. A profitable advisor is a happy advisor. Master the following basic steps of the Consultative Selling Approach:
- Get to Know Your Client w/ F.O.R.E.
- Sell the Appointment
- Establish Rapport
- Understand the Prospect
- Align Product Benefits with Product Needs
- The Prospect Asks to Buy!

Become a master at this process and you will mitigate financial woes the rest of your life. During the first 3-5 years of operation, advisors should solidify 500 clients (2 p/wk) with whom the agency earns $500 - $1,000 in commissions per year. By executing the principles in this step, advisors will run to Agent Vision which is a $283,000 gross revenue target in 5 years. In addition, they will achieve many company sponsored achievement clubs and awards. Accomplish this longer-term target by developing a team that consistently generates the following volume:
· Selling 30+ property & casualty policies per month
· Selling 5+ life policies per month
· Set-up 5+ FFS accounts per month

Step 8: Account Retention - Maintain an on-going pool of satisfied, loyal clients. It doesn’t make any sense to load clients in one end of the agency only to watch them go out the other. To maintain a satisfied pool of loyal clients, advisors must hallmark the importance of relationships and “needs based” selling. A product density factor of 3.0 should be pursued as well as maintaining an “all lines” profit. Agencies should routinely provide a “high touch” environment for their clients. This is done in part by implementing some of the following strategies:
· Having Auto, Fire, Life in Every Household
· Farmers Friendly Review
· Client Referrals
· Outstanding Service
· Follow-up at Renewal
· Send Articles & Publications
· Seminars
· Thank-you Notes
· Regular Mailing Program
· “Friendly Review” Quarterly Publication
· Become a Reference Source
· Customer Satisfaction Survey


Eight Steps Summary

It is no wonder that four of the Eight Steps address the “agent’s attitude and personal development” and the remaining four address the “physical process of building an agency”. This power of this is shown below:

Personal Focus:
· Personal Growth - Books/Tapes
· Association With Winners
· Constant Coaching
· Attend District, Division & Farmers Events

Business Focus:
· Personal Use
· Execute a Consistent Marketing Plan
· Generate New Business Commissions
· Account Retention

Don’t discount the power of this business building recipe. It has weathered the test of time. Its daily application is life changing! Focus on these simple steps and you will build long-term wealth. Miss any of them consistently and you will lament the results.

Make it a great day!

Coming Up For Air...

Hello again!

I have been rather stuck lately. As we all know, Rhino’s don’t get stuck in the mud, but often get stuck in high gear racing back and forth amidst a long list of top priorities. This has been my experience in recent weeks. Moving the District Office in February and March took the top of the list as well as working with an increased number of new Reserve and Career Agents who have appropriately demanded more coaching time. What a great new group of agents we have coming on in the District. I am proud to be associated with them. Couple these heavy priorities with a bunch of other special projects and the end result has been overload…

Not surprisingly, I have had a few agents and friends ask me, “Hey, I have been to the Mud Hole recently, but haven’t seen any new posts”. Yep, I have been missing in action at the Mud Hole, but no worries, a vacation from my favorite gathering spot has created a rather long list of blog topics. So, look for some new blogs coming soon…

By the way, if you would like to comment on any of my Blogs you are encouraged do to so. It’s not a requirement, but certainly something you can do if you feel so inclined. Your comments are public, but I am sure there are those who would like to chime in from time to time. I welcome your feedback. If you are wondering how to do this, listen up.

A the end of the blog you will see an icon that says, “Comments”. Click on that icon to enter your comments. You may have to set up a Google/Blogger account, but it’s quick, easy and free! I look forward to your feedback…

Make it a great day…